Which of the following is an example of a long-run adjustment?
A) Your university offers Saturday morning classes next fall.
B) Ford Motor Company lays off 2,000 assembly line workers.
C) A soybean farmer turns on the irrigation system after a month long dry spell.
D) Wal-Mart builds another Supercenter.

Question

Quizplus · Accepted Answer

In the long run, firms can adjust all inputs, including capital. Building a new Supercenter involves changing capital, which is a long-run adjustment.

Which of the Following Is an Example of a Long-Run